How To Buy Cryptocurrency
We are just at the beginning of the new revolution in blockchain-related technologies and in terms of the development of this industry. Cryptocurrencies are a small part of that emerging industry. This new blockchain technology is going to be a game changer and could be the most important new development since the invention of the internet.
While most people are still struggling to get their heads around blockchain technology and are figuring out how to buy cryptocurrency. Cryptocurrency’s like Bitcoin have exploded in price and attracted world-wide attention.
[Bitcoin’s Price Performance Jan 2017 – Jan 2018]
However some speculated that the run-up in the Bitcoin price, particularly during December 2017 (from $8,000 to nearly $20,000) meant that Bitcoin is in a bubble that could burst at any moment.
“Investing in this cryptocurrency market is risky. Yet the price of Bitcoin could still climb to $50,000 just as easily as it could collapse to $500”.
Not the First Time
But if that happen’s it’s not the first time Bitcoin has risen rapidly and then quickly declined.
The first time was in 2011-12, when Bitcoin soared from $1 to nearly $32 within two months, plummeting 92% over the next six months, falling all the way back down to $2.
The second time Bitcoin soared was in 2013-14, soaring to just over $1,000 before declining 83% and remained at around $300 until late 2016, before beginning its ascent.
A Little History
There has been a number of pullbacks in the price of Bitcoin during its nine year history, but looking back they all appear to have been episodes of consolidation rather than actual crashes and while these pullbacks were often quite steep, and apart from long period during 2015, they were relatively short-lived. In each case, the value of Bitcoin has continued to rise over time, as we can see in the graph below – overall its risen a staggering 75 million percent since its inception.
So, if Bitcoin does go into a decline, (if history is anything to go by) it may just be another period of consolidation, and probably within three to six months, Bitcoin may revisit its all-time high and go even higher.
“However as with any ‘investment‘ you should never risk what you can’t afford to lose”.
While we will continue to see high volatility in prices, the long-term direction however is upward and I’ll discuss the reasons why I believe that soon. In the meantime, I want to discuss something very important with you if you are wanting to learn how to invest in cryptocurrency profitably.